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Janet Yellen Stresses Importance of Crypto Regulation, Making Sure Bitcoin Is Not Used in Illicit Transactions – Regulation Bitcoin News

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Kevin Helms

U.S. Treasury Secretary Janet Yellen has reaffirmed that it is important to ensure that bitcoin and other cryptocurrencies are not used for illicit financing. In addition, she stresses the importance of regulating institutions that deal with bitcoin.

Janet Yellen Claims It’s Important to Make Sure Bitcoin Is Not Used for Illicit Financing

U.S. Treasury Secretary Janet Yellen answered some questions regarding bitcoin and cryptocurrency regulation in an interview with CNBC Thursday.

Yellen said she considers bitcoin a “highly speculative asset,” emphasizing its high levels of volatility in recent years. Responding to a question about whether bitcoin and cryptocurrencies need to be regulated, the treasury secretary said:

I think it’s important to make sure that it is not used as a vehicle for illicit transactions and that there’s investor protection. And so regulating institutions that deal in bitcoin, making sure that they adhere to their regulatory responsibilities, I think is certainly important.

The price of bitcoin hit an all-time high again Friday, pushing its market capitalization above $1 trillion. At the time of writing, the BTC price stands at $54,757.

This is not the first time Yellen has talked about cryptocurrencies fuelling illicit transactions. At her Senate confirmation hearing in January, she said: “Cryptocurrencies are a particular concern. I think many are used … mainly for illicit financing.” She subsequently clarified her position and promised to work with other federal regulators to implement “effective” crypto regulation. Then last week, she said the misuse of cryptocurrencies “is a growing problem,” reiterating that they “have been used to launder the profits of online drug traffickers” and have “been a tool to finance terrorism.”

Commenting on Yellen’s remarks about bitcoin on Thursday, Rich Dad Poor Dad author Robert Kiyosaki wrote:

Sec Treasury Yellen just said on CNBC bitcoin is used in criminal activity. Give me a break. And the US dollar isn’t. Who can believe these Academic Elites? Do they think we are that naive? Definitely buy more gold, silver, bitcoin.

A growing number of large corporations have embraced bitcoin. The cryptocurrency recently got a massive boost when Elon Musk’s electric car company, Tesla, revealed that it had purchased $1.5 billion of BTC and will soon accept the cryptocurrency as a means of payment for its products. Mastercard also announced that it will allow certain cryptocurrencies on its network, and the nation’s oldest bank, BNY Mellon, unveiled a crypto unit to provide bitcoin services. In addition, the U.S. city of Miami is trying to become a bitcoin hub.

Meanwhile, the pro-bitcoin U.S. Senator from Wyoming, Cynthia Lummis, is on a mission to convincing Yellen that bitcoin is a great store of value. Lummis said she met with Yellen and believes that she has an open mind on this subject. However, the senator still believes that it will take some time to convince the treasury secretary.

What do you think about Yellen’s bitcoin remarks? Let us know in the comments section below.

Image Credits: Shutterstock, Pixabay, Wiki Commons

Disclaimer: This article is for informational purposes only. It is not a direct offer or solicitation of an offer to buy or sell, or a recommendation or endorsement of any products, services, or companies. Bitcoin.com does not provide investment, tax, legal, or accounting advice. Neither the company nor the author is responsible, directly or indirectly, for any damage or loss caused or alleged to be caused by or in connection with the use of or reliance on any content, goods or services mentioned in this article.





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Camarasal Poll Shows Entrepreneurs Are Worried About Bitcoin Law in El Salvador – Economics Bitcoin News

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Sergio Goschenko

Camarasal, a well known entrepreneur association in El Salvador, announced the results of a poll made this month. The poll shows almost 100% of Salvadorans worry about the implementation of the bitcoin tender law approved recently. Most criticize the obligatory character of receiving bitcoin payments and don’t expect this move to bring investment to the country.

Camarasal Poll Shows Concerns About Bitcoin Tender Law Implementation

A quick poll conducted by Camarasal, one of the biggest entrepreneur groups in El Salvador, is showing people have deep concerns about the future application of the Bitcoin Law. The poll got more than 1,600 answers in just four days from entrepreneurs and non-entrepreneurs. Camarasal president Jorge Hasbún stated on the massive participation that:

We believe that this excellent response is a reflection of how urgent this issue is for Salvadorans, in the sense of the implications it will have for the family economy on a day-to-day basis.

More than 96% of the entrepreneurs polled prefer an optional use of bitcoin for payments. The bitcoin tender law forces entrepreneurs to accept bitcoin for payments, as long as the entrepreneur manages the technological infrastructure to do so. In the same way, 45.3% indicated they were concerned that the circulation of cryptocurrency in the country is mandatory; while 35.9% assured that it generates mistrust.

Also, most of the entrepreneurs won’t keep the bitcoin received as payment for their goods and services: 51.6% of them answered they would exchange the bitcoin received for dollars. Bitcoin is a pretty volatile asset too, and that scares entrepreneurs that work with tight margins.

Non-Entrepreneurs Also Skeptical About Bitcoin

Camarasal also polled non-entrepreneurs, but the answers were not optimistic either. About using bitcoin as a medium of exchange, 36% said they are concerned and 39% said they distrusted it. The topic of wages and remittances was also included in the poll. El Salvador is a remittance-intensive country, with 23% of the GDP coming from these, according to AP. 93.2% said that they do not want to receive their salary in cryptocurrency, while 82.5% assured that they are not interested in receiving remittances in bitcoin.

Salvadoreans are still lack training on bitcoin and its management, and that might be the key behind these unoptimistic answers. Camarasal vicepresident Carmen Alas stated:

It will be essential that there is a broad consultation with an interdisciplinary group that represents the sectors involved for the construction of the regulations that make this law operational

What do you think about Camarasal’s latest poll in El Salvador? Tell us in the comments section below.

Image Credits: Shutterstock, Pixabay, Wiki Commons

Disclaimer: This article is for informational purposes only. It is not a direct offer or solicitation of an offer to buy or sell, or a recommendation or endorsement of any products, services, or companies. Bitcoin.com does not provide investment, tax, legal, or accounting advice. Neither the company nor the author is responsible, directly or indirectly, for any damage or loss caused or alleged to be caused by or in connection with the use of or reliance on any content, goods or services mentioned in this article.





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SEC Seeks Commentary From ‘Interested’ Individuals on Vaneck Bitcoin ETF – Regulation Bitcoin News

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Jamie Redman

The U.S. Securities and Exchange Commission (SEC) is currently seeking additional commentary from the public, as the regulating body ponders the Vaneck bitcoin exchange-traded fund (ETF) decision. In a notice published on Wednesday, the SEC thinks “interested persons” should provide comments on the proceedings.

SEC Is Looking for Comments Concerning Vaneck’s Proposed Bitcoin ETF Listing

In December 2020, New York-based investment management firm Vaneck filed with the SEC to list a bitcoin ETF. Following the original filing, in March 2021, the Chicago Board Options Exchange (Cboe) applied to list the Vaneck Bitcoin Trust. Then at the end of April, as the U.S. regulator was determining whether or not it would reach a conclusion on the Vaneck ETF, the SEC gave itself 45 more days to decide.

The SEC’s order detailed that the notice of designation has been postponed to June 17, 2021. The regulator could increase it to a “longer period up to 90 days” the notice said. “As the Commission may designate if it finds such longer period to be appropriate and publishes its reasons,” the U.S. regulator’s order revealed. The order was composed by the SEC’s assistant secretary Matt DeLesDernier on April 28, 2021.

This week, on June 16, 2021, the SEC has disclosed that it’s seeking commentary from “interested persons” who are for or against the Vaneck bitcoin ETF listing. Interested commenters have approximately 21 days to give a statement to the regulator.

“The Commission is instituting proceedings pursuant to Section 19(b)(2)(B) of the Act14 to determine whether the proposed rule change should be approved or disapproved. Institution of proceedings is appropriate at this time in view of the legal and policy issues raised by the proposed rule change, as discussed below,” the SEC’s June 16 notice discloses. The announcement adds:

[The] institution of proceedings does not indicate that the Commission has reached any conclusions with respect to any of the issues involved. Rather, as described below, the Commission seeks and encourages interested persons to provide comments on the proposed rule change.

SEC’s Decisions Designed to ‘Protect Investors and the Public Interest’

The U.S. regulator declares that its methods for decision-making are in the best interests of the public. Moreover, the SEC may institute procedures that allow for further review of the proposed rule change.

“Pursuant to Section 19(b)(2)(B) of the Act, the Commission is providing notice of the grounds for disapproval under consideration,” the notice details. “The Commission is instituting proceedings to allow for additional analysis of the proposed rule change’s consistency with Section 6(b)(5) of the Act, which requires, among other things, that the rules of a national securities exchange be ‘designed to prevent fraudulent and manipulative acts and practices’ and ‘to protect investors and the public interest.’”

This is not the first time the U.S. regulator has asked for statements concerning approval or disapproval of a bitcoin-based ETF in the country. So far, however, despite the many applicants in 2021 and previous years, the Securities and Exchange Commission has yet to approve a bitcoin ETF.

What do you think about the SEC seeking commentary on the Vaneck Bitcoin Trust? Do you think the U.S. regulator will approve a bitcoin ETF this year? Let us know what you think in the comments section below.

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45 days, approval, Bitcoin, Bitcoin (BTC), BTC, Decision Making, exchange traded fund, Matt DeLesDernier, Postponed, Public Commentary, Public Interest, Regulation, SEC, us regulator, vaneck, Vaneck bitcoin ETF

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Disclaimer: This article is for informational purposes only. It is not a direct offer or solicitation of an offer to buy or sell, or a recommendation or endorsement of any products, services, or companies. Bitcoin.com does not provide investment, tax, legal, or accounting advice. Neither the company nor the author is responsible, directly or indirectly, for any damage or loss caused or alleged to be caused by or in connection with the use of or reliance on any content, goods or services mentioned in this article.





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Bitdao Collects $230 Million in Private Capital From Investors – Finance Bitcoin News

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Reuben Jackson

As the decentralized finance movement proves its staying power and resilience, one of the world’s largest decentralized autonomous organizations, Bitdao, has concluded a private fundraising round to promote mass adoption of open finance.

DAO to Allocate Capital Towards Improving Defi R&D, Funding, & Liquidity

As decentralized finance (defi) slowly regains its footing following the May decline in total value locked, there is no shortage of investment capital chasing after the idea’s tremendous potential.

Bitdao, a decentralized autonomous organization focused on defi, is launching following the successful conclusion of a $230 million private funding round. The private capital raise featured participation from more than 20 institutions and defi partners, including hedge fund manager Alan Howard, well-known entrepreneur Peter Thiel, Dragonfly Capital, Fenbushi, Founders Fund, Jump Capital, Pantera Capital, and Spartan Group, among others.

To resolve the Bitcoin network’s persistent throughput issues and Ethereum’s high transaction cost, Bitdao’s multichain design intends to unseat existing centralized pegged tokens that pose censorship and counterparty risks through a fast and affordable decentralized solution. The organization’s native BDAO governance and defi token is pegged to the value of bitcoin, with plans to introduce other pegs in the future for coins like ethereum.

The fresh capital will be allocated to multiple areas of operation, including research and development, funding, and liquidity operations. Attracting developer talent is one of the primary aims of this initiative, and capital will also be distributed as grants and token swaps to support blockchain technologies. In addition, contributions to the Bitdao treasury will be used to back partners, add liquidity, and help bootstrap new protocols in decentralized exchange (dex) platforms, lending, and synthetics.

Besides this funding, Bybit, one of Bitdao’s ardent supporters, has pledged 2.5 basis points from all futures contracts transaction volume on its platform in recurring support to the treasury. Based on the platform’s 2021’s transaction volumes, this figure could reach $1 billion annually, helping underpin Bitdao’s mission of improving adoption, collaboration, and innovation within decentralized finance as inclusively as possible.

What do you think about Bitdao raising $230 million? Let us know what you think about this subject in the comments section below.

Image Credits: Shutterstock, Pixabay, Wiki Commons

Disclaimer: This article is for informational purposes only. It is not a direct offer or solicitation of an offer to buy or sell, or a recommendation or endorsement of any products, services, or companies. Bitcoin.com does not provide investment, tax, legal, or accounting advice. Neither the company nor the author is responsible, directly or indirectly, for any damage or loss caused or alleged to be caused by or in connection with the use of or reliance on any content, goods or services mentioned in this article.





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